By Blake Ng — 17 Feb 2021
It’s no surprise that this is one of the largest factors when deciding on a payment gateway. A typical payment gateway fee for example would be 2.9% of your transaction + 30 cents.
A big factor that affects the pricing and fees of each payment gateway:
Where you’re based and where your customers are based.
For example, with RezdyPay, Bob pays 1.45% + 30 cents when someone makes a domestic transaction. However, if someone makes a transaction from the US, Bob will need to pay 2.9% + 30 cents. Here’s what Bob would pay depending on where Sally is from when she booked the $50 tour:
At first glance, they may not seem too expensive, but as your business grows, they add up. For example, if an international visitor booked a $500 tour with Bob, Bob would need to pay $14.80 for that single transaction. What this means is every single percentage counts.
Do your research, find out which payment gateways offer the best rates for your country, and for your main customer segment. Your payment gateway choice could differ greatly depending on where your customers are from. Here’s an example:
Imagine Bob made $10,000 in revenue every month. Here’s how much he would pay to each payment gateway depending on whether his customers are domestic or international.
Notice how Payment Gateway X is the better deal when Bob has mostly domestic customers and Payment Gateway Y is better, vice-versa.Need some help? Our team is happy to take you through the different rates available with our payment gateway providers.
Now that you know how to compare payment gateway fees, here are some other considerations to take into account when choosing a payment gateway.
If you haven’t yet, check out “What is a payment gateway is and why you need one“.